Finance Committee staff told members on May 2 that the city
udit remains unfinished and that staff will circulate an updated digital budget book next week that folds a recently approved police contract and final fleet recommendations into the FY budget.

Staff member (Finance staff) said the auditors are "working nonstop" and that "it's May 2. It's not where we wanna be at, but we're, we're trying to finalize this audit, and we're getting closer. That's what they told me yesterday." The staff member said a recent data issue tied to a Cassell/Eunice migration was resolved and that correcting it will help with beginning balances and reconciliations.

Why it matters: The audit's completion affects the city's beginning balances and the accuracy of budget tables. Committee members were told staff will prepare an updated cover memo outlining department-by-department growth drivers, a change log of council recommendations, and the final fleet recommendations before a last budget workshop and the counciludget vote in May.

Staff outlined several specific near-term actions and updates. Those include:
- Incorporating the approved police negotiation into the budget and sending an updated cover memo and a digital budget book to committee members next week.
- Finalizing fleet recommendations with Enterprise for public works, fire, and code officers, including a discussion about whether a facilities position could use an existing vehicle ("Could they use Jim's old truck?" staff asked).
- Presenting a consultant
0-year update on "Urki" (referred to as the 10-year anniversary of the facility), including a preliminary assessment of maintenance needs and revenue expectations; staff said ERCI is funded through the city's TIF (tax increment financing) fund and that a full accounting of last year's rent revenues and current projections will be provided.

Audit and reporting status
Staff reported working closely with auditors and acknowledged remaining work. The staff member said the audit team identified and resolved a system migration issue that had affected beginning balances. The Public Utilities Commission (PUC) report, which had an original April 1 deadline, was submitted after the committee obtained an extension to May 1, staff said.

ARPA and TIF
Staff said American Rescue Plan Act (ARPA) allocations were completed and obligated with the state in April; unobligated spending may still be reported later this year as projects incur expenditures. The staff member said ARPA funds must be spent by December of this year and that the city had allocated funds and was in the process of recording obligations and expenditures.

TIF-funded ERCI
Committee members discussed ERCI (identified in the meeting as funded through the TIF). Staff said they will provide a full accounting for ERCI, including rent revenues from the prior year and expectations for the coming year, and noted consultant analysis prepared for the facility's 10-year anniversary showing the building is in a maintenance phase and may need new investment. No specific capital plan or dollar amounts were adopted during the meeting.

Requests and next steps
Committee members were told staff will circulate the updated budget book and cover memo and that the committee has a scheduled final budget workshop before the council vote in May. Staff also said they will continue working with Enterprise on vehicle recommendations and with consultants on ERCI accounting and potential investment needs.

Quotations in this story come from meeting participants and staff as recorded in the Finance Committee transcript.